The South Sea Bubble - The First Financial Crash
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- Опубликовано: 5 фев 2025
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1720 was a year of two bubbles and a plague. The bubbles were the Mississippi Company in France -and the South Sea Bubble in England. In September 1720 - when the bubble burst, England was plunged into an economic and political crisis. This was one of the first examples of a financial boom and bust and was the event that gave rise to the use of the term bubble to describe a spectacular market failure.
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No
@@PBoyle
😝
*"Sir Isaac Newton makes a fortune...then loses it all and then some"* first market *"MANIA"* we know of because of this actually so yes is this simple a study if you want to make this surprisingly approachable as a Story quite compelling as well "guy literally invented Physics" got involved with money 😊😊
Have you read the news: EV charging with a Zeekr has achieved 10 to 80% under 10 minutes with still a 250 kW charge rate at 80%
Fully charge would take 8 minutes more.
The ICE manufacturers will be loosing market share big times sooner or later and even 40 ton trucks here are now electrified, Mercedes and the scandinavian manufacturers have started to roll out these trucks from the plants.
USA might falling even further behind - at least what they have achieved so far : nothing , except Tesla
But even Tesla is now here in the EU falling behind unless they start further price cuts cause they have started laying of people in giga berlin Why ? Well, the european manufacturers are forced to achieve bigger EV shares or they pay fines - big times, so ICE prices have been increased and the EV sales offensive has started with additional discounts, every legacy automaker has pulled the trigger. if the dealerships do not achieve more EV sales their ice car deliveries will not be cut, but their comissions big time.
Remember: the first Porsche was what ? An electric one built in 1896
Rocket Money only works in the US. Which is a bummer for non US viewers like me who went and tried to sign up
"Smelling of lucifer's furnace and with a stench that would stifle virtue and good manners" is exactly what i'm looking for in a coffee. (Thanks for the video!)
Love it!
That was well worded indeed 😌
I'll take mine black with no cream or sugar, please. ☕
Starbucks = Charbucks
I never thought I could enjoy a channel dedicated to all things finance, considering I basically don't have any. You are a true gem, Mr Boyle. Thank you for your content!
I thought this channel was about Rap ? ha ha
@@ivangutowski I was gonna say but isn't he a rapper?
Yes. I unblock shitters for a living and love Paddys videos
Not having finances makes watching their machinations truly enjoyable.
You're enjoying it so much because this is technically a rap and rapper channel. 🤣
37:44 Imagine the shock of being thrown under the bus a full century before they were invented.
what is this thing i'm under?!
@@Tony32 The real irony of this historical use of this idiom is that one of the first steam buses was named L'Obéissante.
Under the bus you go! The party appreciates your compliance.
A DoubleDecker bus at that!!!
Thank you Patrick, This video probably underperforms your expectation, but I just want to say, I have personally enjoyed it very much and watched it 3x. Thank you for putting this together
My excitement to have my favorite rapper cover my favorite bubble knows no bounds.
For the amount of information, knowledge, research done for this video and the unique communication and presentation style of the presenter, having only 61K views after 13 hours, shows that more digital time is spent on viral nonsense then on informative videos
Needs more boobies.
Thats alot of views to have on a video. He is actually doing better in view count and subscribers than modt of the youtubers i follow who sit around 10 000 to 100 000 subs. I think the fact you think that isnt many views is more indicative of what side of the internet you are on as opposed to a value judgement about the so called 'average man'
You are right, but there is also so much going on today that nobody cares about interesting things that happened 300 years ago...
Are you gonna keep riding that high horse while adjacent comments have been true since forever and ever?
I'd bet that some of the topics mentioned (slavery, xenophobia, and circumcision status) put this video at a disadvantage with the recommendation algorithm.
Thanks!
Thank you!
@@PBoyleyou’re welcome
Best economic history lesson on RUclips. 🌟
I love the history rabbit holes in this one. Caffeine too!
What do you predict for the DEFLATION that seems imminent? Please feel free to change my assumptions too. I’m just looking at “debt default” means assets change ownership and get marked to market. But if you have enough of that, then even the lenders don’t have cash flow. The new part I’m wondering about is population declines (globally?)…? Cash/gold gives giant buying opportunity? But then no work so nobody can pay rent. That’s a very slow velocity of money, is it not? How does it play out or how do we avoid it? I’m assuming fiat currency is problematic too, given debt in general. A do one of your explainer videos…?
Caffeine rules. ☕👍
Much thanks for the light thrown on one of the most notorious financial episode
On then politicians being bought..... " but things are different now ! " made me choke on my coffee
I have always wondered how stock and money markets worked prior to the IR. Interesting stuff Patrick. I really enjoyed this.
I have yet to ever see Mr. Boyle blink.
He must be Republican.😮
Womp womp @@hoonhwang4778
AI generated ?
he is a robot 🤣
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I really enjoy your videos I appreciate them being dumbed down enough that I can enjoy and understand them but not so much that I feel like I am watching a video for 9-year-olds
I do not know why but your comment reminded me that we had to in Australia watch a news show at 9 yrs old in school called Behind the News. I have now just seen it is on RUclips. Thanks for the reminder/memory and possible future watching.
Glad to se your getting back to your Rap Roots with a deep dive on one of the early Boom n Buster rhyms of 1700s bangers the Bubble'Wrap..... Soon to be seen back in the present with Deepseeking looking to pop the AI fermentation sampling bubble.
Excellent oration, thanks so much Patrick, your deadpan wit gets me through the day!
Such a greatly produced historical and economic video that digital media is lacking. Really pleasing to listen to while working.
This was a good one. I often listen to your topical videos as a podcast of sorts, but I saved this one for when I could give it my full attention. It felt like your teaching background comes through more clearly here.
Politicians meddling in financial markets? Thankfully that's not allowed today.
Braindead creeps blaming the government for the inherent flaws of capitalism... nothing changes does it
Stop Trading On Congressional Knowledge...STOCK Act, they think they're clever for that 🙄
The Biden Crime Family and Nancy Pelosi thanks you for your comment. 😂🤣
@15:20 So, as it turned out, the Spanish also just didn't like buying slaves from English, preferring to instead buy slaves from other Catholics, for whatever reason. The funny bit of this is that, while the slave trade was unprofitable, using the slave trade as an excuse to smuggle manufactured goods into under-served Spanish colonys WAS profitable, creating perhaps the most bizarre economic dynamic in all of history: using slave ships to smuggle cooking wares.
WTF??? Are there any books (or even Wikipedia links) I can read about this, that you can point me to?
@@StarPlatinum3000 just don't google Jewish slave traders, pinky promise ok?
@@StarPlatinum3000 " Extradinary Populer Delusions and the Madness of Crowds"
By Charles McKay
Extraordinary Popular Delusions and the Madness of Crowds
Book by Charles Mackay
Thank you Patrick for another great program. We across the pond, appreciate your well researched and sometimes witty podcasts. Carry on.!!!
Fascinating. Of course, such irrational behaviour by investors and corruption by officials could never take place in our enlightened 21st century.
It sounds like he's describing the birth of synthetic financial instruments like CDO's. I feel like I'm watching a documentary on the financial crash in 2008.
Nothing ever happens
I didn't understand one bit but I loved Mr. Boyle's role as financial historian.
still the best rap channel on youtube
This…
Context and source?
Duh duh duh duh, they not like us, they not like us 🕺🏾
@ I don’t know the precise origins of the meme but it is related to the crypto-scammer couple one of whom was this ditzy woman who posted silly monotone rap videos eluding to the crimes they had committed and Patricks treatment of that story with his oh so witty dry and wry english humor.
@@Vergoso_42
If you have to ask, you'll never know
I love these historical videos. Thank you!!!
This is a fantastic video. Thank you Patrick for all the research you do. It is such a deep dive, delivered so well.
Seriously, the way you present complex information and turn it into a coherent story is incredible!
Excellent video! It’s amazing what happens to economics when “debt” isn’t a currency
Quite excellent video. I’m a former futures broker who worked on the old Liffe Exchange, in the Royal Exchange. I had to smile and the going’s on. Sounds just like the derivative trading I was involved in. Quite fascinating to see one’s roots so clearly.
I must commend you 😊
Luckily, the idea of business owners getting involved in government to massively inflate the share price would never happen, especially in say somewhere like America .
Washington hadn’t even left the presidency when it happened the first time.
That would be a no brainer investment would not it?
@@anonymousonlineuser6543Having the crown as a shareholder could be touted as a sign of stability and dependability. The crown owning parts of a monopoly it had granted was not silly at the time.
@@anonymousonlineuser6543if you like screwing over your fellow man then sure
Taboo is an excellent series and well worth a watch after listening to this great video 👏
I love your innovation in your videos of using actual data and facts. Hopefully this “using actual historical data” thing you do spreads to other RUclipsrs.
Phenomenal effort on this one, enjoyed every minute
I remember extra history making videos about this and found it incredibly interesting. I think its what kicked off my interest in finance as a whole.
“A bubble is a stock or asset where the price inflates well beyond its fundamental value.” What is the fundamental value of Bitcoin and other similar “assets”? Zero.
Crypto = Zero
Impeccable timing.
I once met a direct descendant of Robert Walpole doing charity work for school, and had to explain to him my understanding of it at the time since ironically wasn’t familiar with the infamy from his ancestor.
For the record, their branch ended up in Indiana of all places.
Just brilliant! Thanks a lot!
It never occurred to me just how much coffee shops have served as hubs of learning, commerce and community. And here I thought our modern behavior of spending hours in a Starbucks doing homework, or managing my Bitcoin holdings and sucking up the WiFi was new and modern behavior. Leave it to Patrick to show just how recursive the world really is.
There is no wifi in the early modern period. You have to meet people in person a lot more, or rely on mail. Or you have to be where you are available.
This could be a specialized commodities exchange. Or any sort of public house/pub.
Nobody spends hours in Starbucks, because they don't sell coffee.
@@AndrewBlucher The public house in the early modern period is very vague. Like a cross between clubhouse and private parlour and open public service.
Wait until you realize what Lloyd's is named after.
@@SusCalvin seems pretty obvious to me the modern equivalent is right here - youtube, twitter, social media in general
this was a really neat video!
Thanks Patrick, this one was very interesting.
I don't think Adam Smith mentioned the South Sea Company in The Wealth of Nations. He did discuss the East India Company at some length. I wonder if he considered the South Sea Company financing system too convoluted for rational analysis.
He mentions it in passing, but doesn't go into detail. He kind of assumes the reader is already familiar with the story, since it was so famous.
Loved this video Patrick. Really enjoy it when you take a deep dive into history.
Love this video, Patrick. One of your most interesting pieces.
I love these videos, and this is an excellent topic. Thank you, Patrick!
Great video - very interesting topic. Loved your matching video on John Law too.
An excellent reminder for the impending one.
24:20 … don’t worry that particular token is going to take a nose dive in about 70 days when it unlocks and the rug pull happens.
Haha yes. Rugpull incoming. Still can’t believe it’s real and legal. So insane.
Golden comments
What are the names of the movies from which the inserts/clips were taken?
29:20 - that is some serious funky building facing near guy's hospital
This is an excellent video
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4:27 The earlier example was the Dutch tulip bulb market bubble of 1637
“Tulipmania” was not as big as people think. He does a great video on how much of the Tulipmania story is actually propaganda.
@thepostapocalyptictrio4762 Thanks
5:25, thank goodness we don’t have such a political class now
The same thing is going up in the so-called Six Sisters tech stocks in the United States. Their debt situation is similar to that.
The 'Magnificent Seven' has been reduced to the 'Six Sisters' .... ominous.
Wasn't the first bubble-and-bust Tulip Mania in The Netherlands, 1636-1637?
yeah good one buddy, the netherlands doesnt exist its a psyop from mossad
Read the "Coffee Trader" by David Liss. This video reminds me of that book.
Hahahahahaha... you got me at 'This is probably why Starbuck won't sponsor my channel'.
It's comforting to know that we do not repeat the mistakes of the past.
❤ the sneak Taboo reference 😂
Finally, i have found you, the one other person who watched that show.
Finally, i have found you, the one other person who watched that show.
Such a great story with the EIC at it's centre.. Their chicanery was legion btu their interior decorators were the best..
Fantastic piece of history !
That Starbucks sponsorship comment was Peak Patrick. Love it.
Your history videos might not be your funniest but they are my favourite
I am a simple lad: I see something about South Sea Company shares, I purch... I mean I click.
those 18th century coffee insults are fire
Boyling complex ingredients down to a delicious meal. Thanks Rapper Chef Sir!
Patrick. Completely unrelated to this video. But I'd love to see you do one (or a few) reaction videos to Finance related movies and TV shows ( Wall Street, The Big Short, Margin Call, Succession, etc)
Patrick, it would be great to see you do a video on the Charles Mackay book.
Good that we today don't fall for such tomfoolery anymore and have our reliable magical internet money.
And collateralized debt obligations.
Yes, we're so much more sophisticated and well-informed nowadays. 🤔😂🤣
Outstanding, thank you so much
HIstorical Financial content is what I am all about.
Guy is my new hero.
Fortunately, something like this will never happen again
Hahahhahha
Hmm I wonder if there are any modern parallels that could be taken from this.... nope can't think of one
8:00 This channel is actually going back to it's roots as a rap channel.
John Blunt got a Lordship out of it -- which exists to this day.
Looks like "pumping your own bags" has been around for a while.
Interesting video though the idea that Britain fought France on a leveled footing before the 100 days is I think a wrong notion. It does give a good explanation on the stability of Britain while at war within the Napoleonic conflict but i think it is wrong to not take note of the great Austrian, Russian and Prussian effort and capital which was put into the war which at times was greater than that of Britain's in certain areas.
Let’s all buy the dip on the South Sea Company 😎
Amazing video thanks again
Rumor has it that Isaac Newton reinvested a couple days before the top and lost it all.
It dropped like a rock. 😂🤣
Fell faster than an apple from a tree?
That was when he discovered things go down 😂
Mr Boyle you are a master of subtle sarcasm and irony....almost qualifying as an Aussie 😊 and a most edifying channel.
Funny you should publish this today PB! Only 2 nights ago I watched your John Law vid and as this was playing your recommendation "Millionaire" (Janet Gleeson) was posted through my letterbox. If you have any recommended reading on the south sea bubble please share...I read "A very English deceit" (Malcolm Balen) a few years ago and found it quite entertaining! cheers,
Leo
does tulip mania not count as financial crash?
Apparently, it was on a much smaller scale ... it's been hyped over the centuries.
Isn’t the first bubble the tulip bubble in Holland?
Wasn’t the Dutch tulip crash earlier or no?
Is there movies about this?
Didn't the Dutch tulip bubble happen like a hundred years prior to this?
Hopefully we can see more Guy's hospitals in the future.
Love the video! It’s not news but relevant nonetheless.
Catchy tune.
gees...i wonder if TSLA is in a bubble...short squeeze play
Wow awesome video
The OG meme stock, I see
There was more than just slaves coming out of Africa. There was gold, cocoa, and sugar too. The slave traders didn't discriminate, because those guys would buy stolen goods too (this was the "golden age of piracy")
Reminds me of MSTR
My guess is that new bubble to pop is passive investing, represented by ETF’s.
Coffee was the ritalin of the 1700s to get traders hopped up and excited like a gaggle of galahs, trading like they were possessed.
Patrick with his shot at Epic Rap Battles from History.
Not really, the us senators and congressmen are allowed to own stocks of companies that they directly impact through their membership on relevant committees...